1. AO FORUM Marketing UK qualifications overseas AndreW Hall & Martin LOwder
21st April 2016
Thanks very much for inviting Andrew and I to the AO forum to present our research
I am Martin Lowder Head Client Relations in the exams team
I am joined by my colleague Andrew Hall, Skills adviser, policy, education and society
1st a bit of background on why we carried out the two pieces of research
2nd Andrew will talk about the TVET research
3rd Me
4th Next steps and any questions

2. PURPOSE OF RESEARCH TVET REVIEW
FAB / British Council want to help AOs expand into new markets
Global economic trends
Indicators and potential opportunities
AO DIRECTORY
Comprehensive view of UK awarding organisation sector
Match AOs with opportunities
Provide appropriate services
Just to give you a it of background of why we decide to carry out this research with FAB’s support
TVET’s aim is to understand what is happening globally , what are the trends and economic indicators' etc
Directory- know a lot about the top 20 AOs we work with, we only work with a few of you and some on a very small scale but not a lot about the rest we work with and the ones we don’t.
Attempt to build a snapshot of which boards are delivering what where
We get market insight and are carrying out extensive market research so this will help us direct opportunities to the correct boards- been v difficult in the past
Ultimately we want to help you grow your business for the benefit of UK PLC

3. What is THE TVET Research Saying?
A global picture
Youth unemployment in MENA of 30% with estimated 10.7 million new entrants to workforce in the next decade
A quarter of Africa’s young people are either out of work or not in education.
470 million jobs are needed globally by 2030.
TVET an increasing focus of Governments to tackle complementary challenges i.e. civil unrest
Sustainable Development Goals: 4 on TVET

4. Global annual GDP growth projections (%)
This table highlights the global GDP growth projections and changes between (From International Monetary Fund)
With education and TVET enrolment linked closely to a country’s GDP, this creates a useful picture to understand the potential areas of growth for the sector, trends and the regions and countries that are leading this growth. The growing economies can suggest that as GDP grows, so can enrolment in tertiary education.
Key stats:
Following the global recession in 2008 and 2009, the global economy is getting back on track.  
The data predicts that growth will pick up again this year, driven largely by countries in Asia including China, India, and the ASEAN-5. The ASEAN-5 is made up of Indonesia, Malaysia, Philippines, Thailand and Vietnam.
Other areas of the world that will drive global growth include Sub-Saharan Africa, including Nigeria which is forecast to grow at 4.5 and five per cent in 2015 and 2016 respectively, and the Middle East, North Africa, Afghanistan, and Pakistan region.
Regions and countries with a high or increasing GDP and a growing young population, will invest more to become knowledge investment economies.

5. Factors affecting AO’s
Clearly, security, prosperity and age demographics are important as shown above
However also
The perception of TVET. Many countries, in East Asia and Wider Europe in particular, are taking significant steps to challenge the entrenched deficit of esteem in Vocational qualifications
Confidence in qualifications or the “currency”
Price points and the market conditions
The effect of post-oil economies and shifts in government policy
Local understanding

6. General Trends we see in our work
Move towards occupational standards
Importance of the currency of qualifications
Rebirth of apprenticeships.
Core skills
Market for qualifications is diffuse but some areas like ASEAN working on common standards.

7. The UK has a great reputation
The global market
There are a lot of competitors…
But
Seen as having high level of quality
Valued for being employer led
Qualifications have high currency so are seen as desirable
The UK has a great reputation

8. The highest rates of growth are forecast to come from Asia and Africa
From 2012 to 2025 the British Council estimates an increase in local enrolments in tertiary education of:
3.4 per cent annual average in India
5.7 per cent in Nigeria
7.9 per cent in Angola
10.1 per cent in Ethiopia
6.8 per cent in Kenya
5 per cent in Pakistan
3.8 per cent in Sri Lanka

9. Awarding Organisation Directory Research HIGHLIGHTS

10. Methodology / survey RESULTS
Thank you
Targeted 160 FAB members.
109/160 responses in total.
Phone calls / web sites.
Still opportunity to add your organisation.
First of all thank to all of you who took part and apologies of we didn’t communicate the purpose well enough.
What we more comprehensive view of the UK AO sector – work in progress
Needed to act quickly so we had something we could use once we got the EA research data
China, HK, Malaysia, Singapore, Myanmar

11. How many countries are your assessments delivered in?
Given only 13% of boards operate in more than 51 countries, still room for business expansion
Over one third only operate still in 1 to 5. Is this because these boards are still starting out, or has there not been a real strategy to grow the business overseas?
What’s holding AO back
Some of the big ones we work with operate in 95
If you have a global offer why can’t you deliver in more places?

12. What are THE Current top countries?
China
India
Ireland
Malaysia
UAE
Hong Kong
South Africa
Cyprus
These are all countries the boards which responded said they operate in
Most are in Asia
China and India too big to ignore
Why not Africa- BC have office in 20, but work across borders in many more?
Not more in Middle east. Is this because of the drive to local qualifications?

13. What range of income is Generated from Your overseas assessments?
Can we estimate a total value of what our current business overseas means to the UK sector financially?
An estimate was made of approx 200 million, but potential to be much higher, how much?
55% only generating under £100,000, suggests there is lots of untapped potential
Is it part of the internal culture where the majority of the focus on the UK and not much thought is being put into global, no deliberate strategy?

14. Do you have plans for offering assessments overseas?
Only about a third 37% of those which answered are looking to start delivering overseas, what is putting off the other 63%?
Too much competition, not aware of the opportunities, or too many perceived barriers and easier to focus on UK

15. What is your time frame for delivering assessments overseas?
Of those two thirds which want to expand overseas the timeframe for some is very short 80% in next two years.

16. ? Target REGIONS Middle East British Asia Africa
Current top 10 are mainly in South Asia, one in Middle East and Europe, but TVET research says
Why not Africa? Is it seen as too difficult?
Growing focus on tourism in post oil states in Eastern Europe

17. Do you face any of the following challenges in protecting your reputation of your qualifications?
Top 5 of the challenges are actually British Council USPs and why many of the 150 boards work with us
Reputation of Education UK
Policy change

18. Do you face any of the following challenges in protecting your reputation of your qualifications?
% of Responses
BC Services 1.
Quality assurance inspections and spot audits
60% * 2.
Compliance with UK best practice in Equal opportunities, Health & Safety & data Protection
45% 3.
Checking the identity of the candidate
40% 4.
Quality of invigilation
36% 5.
Security of confidential materials
34% 6.
Quality of risk management and contingency planning
33% 7.
Customer services
21% 8.
Same organisation provides training & invigilation 9.
Communication issues with the assessment provider
16%
10.
Technical and connectivity issues when delivering CBT 9%
Top 5 of the challenges are actually British Council USPs and why many of the 150 boards work with us
Reputation of Education UK
Policy change

19. Do you face any of the following challenges in GROWING YOUR BUSIINESS OVERSEAS?
If you are landing in Addis Ababa on your own, it meets our objectives whether you work with we want to raise the profile of UKPLC or not and provide value to the UK
If you have questions,, we have people on the ground, let us know

20. Do you face any of the following challenges in GROWING YOUR BUSIINESS OVERSEAS?
% of Responses
BC Services 1.
Finding good quality course providers for your qualifications
62% * 2.
Growing recognition for your qualifications 3.
Understanding legal and regulatory barriers
51% 4.
Gaining access to government, industry and academic decision makers
46% 5.
Making effective decisions about which cities and countries to target
41% 6.
Finding an effective local marketing partner
36% ? 7.
Restrictions on foreign currency movements
11%
If you are landing in Addis Ababa on your own, it meets our objectives whether you work with we want to raise the profile of UKPLC or not and provide value to the UK
If you have questions,, we have people on the ground, let us know

21. NEXT STEPS / COMING SOON
East Asia Research
Enhanced menu of services
You can still take part in the research

22. questions Who do they see as the main competition and why?
What do they see as the trends in TVET?
Given the data, why are such boards looking at opportunities overseas?
Does anyone see delivering international expansion as a way of mitigating the challenges which will be happening?

23. Thank you!